A lot of other blog’s write a monthly report detailing what happened to their blog over the past month. But the problems with all these other reports is that they only reveal numbers (e.g. stats, revenue, etc). In this monthly report of the Investorz’ Blog, I plan on revealing more. I will reveal to you, my loyal blog reader, all the inner workings of the Investorz’ Blog and what’s happening behind the scenes.
Traffic
Instead of a usual post about investing, here’s something to make you laugh. Who would have known that many people search for the most bizarre, funniest things on the one and only search engine: Google?! Without further ado, here are some of the weirdest (and albeit funniest) search suggestions on google.com.
If you’re spouse is that bad….
Wait a second. How do you know that you’re dead?
Finding a good broker can be tough and demanding. A bad broker can perform poorly executed transactions, and can cost you a lot of money. So here’s my guide on how to find a good broker that won’t interfere with your investment performance. Here’s the criteria.
First off, I’d like to explain what the 200 day moving average is. The 200 day moving average is the average of the price of the stock for the last 200 days. It has been proven in the past that the 200 day moving average is a key support and resistance area. Here’s an excerpt from my blog post on what support and resistance is.
“Supports are the lows of the market. Supports are where the demand side (buys) are strong enough that they stop the price from going any further down. As a result, prices go back up. Sometimes, the support level can be predicted from past resistance levels and support levels. Resistance is the opposite of support. Resistances are where the supply side (sell) are strong enough that they prevent the market from going up any further, thus causing the price to come back down. Resistance levels can often times be predicted by looking at the past support and resistance spots.”
For more about support and resistance, please click here.
The following is a sponsored review. The opinions presented below are what I truly believe in.
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Investing is a battle. A battle between the bulls and the bears, a battle between the longs and the shorts, a battle between those who are on your side of the market and those who aren’t. Kung-fu sparring can teach us much about investing. Kung-fu is more than a sport or a martial art; it’s a way of life. And that way of life can be used in the realm of investments.
Kung-fu teaches us to restrain our emotions, and think clearly.
A real kung fu master always faces his enemies with a non-emotional, calculating face. He never shows his emotions. It doesn’t matter if the kung-fu master is facing 10 guys or 100 guys. It doesn’t matter if the kung-fu master is losing the duel. It doesn’t matter if the kung-fu master is winning the fight. He always keeps a calm face, keeps his emotions in check, and carefully observing the opponent, trying to find the opponent’s weakness.
In any competition, one needs to know his or her own advantage in the game. In the game of investing, every investor needs to know his or her advantage. The small and individual investor has some advantages that the guys running billion dollar hedge funds wished they had. A smart investor takes these advantages and uses them when playing the ultimate game: investing. I hope you do too.
Fast and nimble.
Does anyone remember Long-Term Capital Management (LTCM)? The highly leveraged
fund that burst in spectacular fashion in 1998? They got creamed in by the Russian bond debacle. So you may ask “If they realized that they were in a terrible position, why didn’t they get out?” The truth is, they very much wanted to get out, but they couldn’t. Their position was too large, and if they tried selling even a fraction of their position, they would have moved the market against themselves.
In times of a market panic, the thing that everyone wants but is lacking the most is market liquidity. Everyone wants to sell, but hardly anyone wants to sell! This is where the small individual investor has an advantage. While the big guys watch in agony looking at the ever increasing red numbers on the screen, the small guy can easily close his position (even in times of little market liquidity).
Recently, the financial markets have become very jittery. Stocks have been experiencing intraday fluctuations of up to 5%. I call this a panic, because it demonstrates that investors are freaking out. So how do you invest when the stock market is in a panic (the opposite of a bubble)?
Any panic, like any bubble, has 3 parts. Beginning, middle, and end. Simple as that.
Beginning – Markets start getting jittery.
The beginning stage of any panic (one or two year big bear market) begins when the markets start stalling, and get jittery. Previously there had probably been a bull market, but now, investors are reconsidering the the stock market. The investment clouds are coming. The smart investors start selling here. People begin to think “maybe the stock market shouldn’t be going up.” Investors start becoming a little nervous at this point, because data is showing that the economy is stalling, and corporate profits aren’t doing as well as people expected them to be.
